Legal Question in Bankruptcy in Texas

Assets allowed during banckruptcy

If I own a rental home outside of my residence which I use for income although I still owe the mortgage and I do not want to include this property to be discharged (although I know I have to show it in my debt/income ratio) how will this be handled during chapter 13 Banckruptcy ? Can they take the home away from me if I do not include it in the debts to be discarged?


Asked on 10/08/00, 6:24 pm

1 Answer from Attorneys
Lawrence Maun Lawrence J. Maun, P.C.

Re: Assets allowed during banckruptcy

If the income is greater than expenses on the rental home, you should have no problem keeping the asset. You will probably want to make the mortgage payment outside the Chpter 13 Plan so that you avoid the 10% fee the Chap 13 trustee charges on disbursements. One of the reasons for filing a Chap 13 instead of a Chap 7 is to preserve assets like this.

Read more
Answered on 11/06/00, 3:59 pm


Related Questions & Answers

More Bankruptcy Law questions and answers in Texas